Key takeaways
- Stable supply: Qatar's total retail real estate supply held firm at 5.7 million square metres of Gross Leasable Area (GLA), split between organised and unorganised spaces.
- Brand expansions: Despite a lack of new developments, high-end brands like APM Monaco, XBeauty, and Em Sherif Deli expanded their footprint across key destinations.
- Consumer recovery: Retail activity saw a noticeable recovery supported by events such as Eid Al-Adha promotions, Sneaker Con Doha, and the Indian Mango Festival.
- Rent adjustments: Median monthly shopping centre and mall rents declined by 1% quarterly and annually, settling at QR 177 per square metre.
How did Qatar's retail sector perform in Q2 2026?
Featured in The Peninsula, ValuStrat’s market research highlights that Qatar's retail real estate market held steady during the second quarter of 2026. The total supply remained firm at 5.7 million square metres of GLA, evenly split between 2.5 million square metres of organised retail and 3.2 million square metres of unorganised retail. While there were no significant retail completions recorded across the country, active leasing and high-profile brand additions continued.
High-end offerings expanded notably, with luxury jewellery brand APM Monaco opening at Place Vendôme, XBeauty entering Msheireb Galleria, Em Sherif Deli setting up at The Gate Mall, and Carpo joining Villagio Mall. Anum Hasan, Head of Research for Qatar at ValuStrat, noted that retail footfall improved following a quiet first quarter as consumers returned to promotions, holidays, and leisure spending. However, renewed regional geopolitical tensions toward the end of the quarter raised concerns regarding discretionary spending.
What trends shaped leasing momentum and rental rates?
Financial dynamics in the retail sector reflected mild downward pressure. Median monthly shopping centre and mall rents declined by 1% both quarterly and annually to reach QR 177 per square metre. Meanwhile, street retail rents across Doha and outer municipalities remained flat quarter-on-quarter, though the broader street retail market logged a 4.2% annual decrease. Specific Doha neighbourhoods like Al Dafna, Al Muntazah, and Al Sadd saw yearly rental declines reaching up to 5%.
Despite relatively stable headline figures, overall leasing momentum softened across the board. Higher unit availability and a slower absorption rate prompted landlords to introduce longer grace periods and structured lease flexibilities to secure occupants. Additionally, vacancies grew noticeably within hotel-based food and beverage spaces, particularly inside luxury properties.
